If you’re planning to start a non-profit organisation in India for social welfare, education, charity, healthcare, research, climate initiatives, or community development — a Section 8 Company is one of the most trusted legal structures.
Section 8 companies operate without a profit motive, and any income generated must be used solely to promote their objectives. This makes them ideal for NGOs, CSR initiatives, foundations, and mission-driven organisations.
If you are looking for expert guidance or want to start smoothly, you can explore:
👉 Section 8 company registration
or request complete NGO registration services depending on your requirement.
What Is a Section 8 Company?
A Section 8 Company is registered under the Companies Act, 2013 and regulated by the Ministry of Corporate Affairs (MCA). Unlike private or public companies, Section 8 entities cannot distribute profits to members or founders. Instead, the funds must be used for the organisation’s charitable purpose.
Some common objectives include:
- Promoting education and skill training
- Supporting women empowerment initiatives
- Providing healthcare, medical relief, or nutrition programs
- Advancing environmental sustainability and animal welfare
- Encouraging arts, sports, culture, and social research
For reference, Government of India policies, initiatives, and compliance information can also be found on:
📌 https://india.gov.in
📌 https://dpiit.gov.in
📌 https://dcmsme.gov.in
Benefits of Registering a Section 8 Company
✔ Operates as a legal non-profit entity
✔ Eligible for tax exemptions under Income Tax Act, 1961
✔ Recognized credibility for CSR funds and donor grants
✔ Perceived more trustworthy than Trusts or Societies
✔ Can receive foreign donations after FCRA approval
Who Should Choose a Section 8 Company?
A Section 8 structure is ideal if you want to:
- Register a non-profit in India
- Launch a CSR-linked foundation
- Run an educational or healthcare charity
- Start a research-based or community-support initiative
Step-by-Step Process to Register a Section 8 Company in India
Step 1: Apply for Digital Signature Certificate (DSC)
Directors must obtain a DSC to sign digital documents online.
Step 2: Apply for Director Identification Number (DIN)
Applicants must apply for DIN through the MCA portal.
Step 3: Name Approval (RUN Service)
You must apply for the company name under Reserve Unique Name (RUN) service.
Name guidelines should align with the non-profit nature of the entity.
Step 4: Draft MOA & AOA
The Memorandum of Association (MOA) and Articles of Association (AOA) should clearly define:
- Purpose of the organisation
- Mission
- Scope of work
- Governance structure
Step 5: Apply for Section 8 Licence
A licence under Section 8 is required before registration. Supporting documents include:
- Declaration from founders
- Financial projections
- Proposed activities plan
Step 6: Incorporation Certificate
After approval, the Registrar issues:
- Certificate of Incorporation (COI)
- PAN & TAN
- Section 8 Licence number
Step 7: Post-Registration Compliance
Once registered, the organisation must maintain:
- GST registration (if applicable) through https://gst.gov.in
- Compliance under GST Council directives: https://gstcouncil.gov.in
- Annual returns & financial statements filing
- Income tax exemptions like 12A and 80G
If the Section 8 entity operates in sectors like food distribution, nutrition, or health-based programs — registration under:
📌 https://fssai.gov.in
may also be required.
For mission-led initiatives that align with India’s national development themes — references include:
📌 Make in India → https://makeinindia.com
📌 Startup India (especially social impact startups) → https://startupindia.gov.in
Documents Required
For Founders | For Office Address | Business Details |
Passport-size photo | Rent agreement / ownership proof | Activity plan |
Aadhaar / Passport / PAN | Utility bill | MOA & AOA draft |
DSC | NOC from owner | Declaration forms |
Section 8 Company vs Trust vs Society
Feature | Section 8 Company | Trust | Society |
Regulation | Companies Act 2013 | Trust Act | Societies Act |
Credibility | ⭐⭐⭐⭐⭐ | ⭐⭐⭐ | ⭐⭐⭐ |
Tax Benefits | Yes | Yes | Yes |
Foreign Funding | Highly suitable | Possible | Moderate |
Because Section 8 Companies offer legal credibility and structured governance, many NGOs and CSR organisations prefer this format.
Taxation & Compliance Considerations
A Section 8 company may be eligible for:
- GST exemption (if applicable to service type)
- Income tax relief under Section 12A & 80G
- CSR funding under Companies Act 2013
For tax rules, refer to:
📌 https://incometaxindia.gov.in
📌 https://gstcouncil.gov.in
Why Most Founders Choose Professional Assistance
Section 8 registration involves drafting legal documents, government compliance, licence approval, and ongoing filings.
Many founders choose expert help via:
👉 Section 8 company registration
and full-stack NGO registration services to ensure accuracy and compliance.
Final Thoughts
Starting a Section 8 Company is one of the most structured and credible ways to launch a non-profit organisation in India. With the right compliance, clarity of purpose, and legal structure your organisation can gain national and international recognition, donor confidence, and long-term sustainability.
If you’re ready to begin or need guidance on compliance, funding structure, or legal setup:
➡️ Register a non-profit in India with Section 8 company registration